Cater Allen launches new structured products

Cater Allen Private Bank, part of the Santander Group, has added two highly competitive structured products to its range.

The Cater Allen Growth Plan 7 offers investors a return on the original investment of 90 per cent of any rise in the FTSE 100 Index on maturity (subject to averaging over the last 12 months of the plan) over a six year term. The plan requires a minimum deposit of £5,100 and is suitable for Cash ISAs, whether new money or the transfer of an existing Cash ISA from a previous tax year. If the plan is opened via a Cash ISA, then any returns benefit from the individual's Cash ISA tax-free allowance.

Cater Allen Private Bank has also launched the Annual Locked In Defined Return Plan 1, which offers investors a choice of two fixed terms - four and six years. The plan guarantees the return of both the initial capital and a minimum return at maturity, and offers investors the opportunity to lock in a return on their capital each year that the FTSE 100 Index is at, or above, the Initial Index Level at the end of each annual averaging period. 

The four-year term plan will lock in a return of 4.25 per cent of the original investment after each averaging period (annually) where the FTSE 100 Index level is at or above the Initial Index level, offering the potential of a maximum return at maturity of 17 per cent. The six-year term will lock in a return of 5 per cent of the original investment after each averaging period (annually) where the FTSE 100 Index level is at or above the Initial Index Level, offering the potential of a maximum return at maturity of 30 per cent.

Both terms of the Annual Locked In Defined Return Plan have a minimum investment of £10,000 and pay out cumulative returns at maturity.

Fernando Gasca, Head of Structured Products at Cater Allen Private Bank, said: "These products are designed to appeal to investors who are looking for capital security as well as the potential for returns linked to FTSE 100 growth. These latest additions to our range of structured products will enable investors to benefit from any future economic improvement, without taking the risk of a stock market correction with their initial investment."

The deadline for investment in the Growth Plan 7 is 19 November 2010, and the Annual Locked In Defined Return Plan deadline is 5 October, 2010 (or earlier if sold out).